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Mad Money

News/Business. (2013)

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America 21, Pulte 17, Cramer 9, Goldman 6, Illinois 6, China 5, Jim 5, Hoveround 4, S&p 4, Chuck 4, Goldman Sachs 3, Lennar 3, New York 3, Jim Cramer 3, Us 3, Chico 2, Jp Morgan 2, Groupon 2, Eaton 2, U.s. 2,
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  CNBC    Mad Money    News/Business.  (2013)  

    January 12, 2013
    4:00 - 5:00am EST  

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i'm jim cramer, and welcome to my world. you need to get in the game! >> firms are going to go out of business. they're nuts! they know nothing! i always like to say there's a bull market somewhere. "mad money," you can't afford to miss it. miss it hey, i'm cramer. welcome to "mad money" to cramerica. other people want to make friends. my job isn't on just to entertain, but to teach and educate. call me at 1-800-743-cnbc. after a ho-hum session, s&p finishing flat, nasdaq advancing .12% and the dow finishing flat. we're about to head into one of the four most exciting but least lucrative weeks of the year, thanks to the coming jumble of earnings. that's right. the reports are coming. you know the rultz. no trading at the height of earnings season.
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let's just try to learn. as i told you not that long ago. it's almost impossible to make money until after we've seen the earnings. i did five years worth of work on these weeks. i'm not kidding. i spent the last -- yeah, i spent about the last few weeks. i went through every single earnings week, and i have to tell you, just as right as we are wrong, it's like a coin flip, and we have a real parade of them. stop flipping coins and start listening. here's your data. first monday, we play real close attention, to ppg reports. and you have heard michelle bunch on the show numerous times. this one has now passed on a commodity business to georgia gulf. as i said last night, good news for ppg and ggc. i keep hoping ppg will come down. i want to say this is your chance to go in. it hasn't happened. it is a huge beneficiary of worldwide growth, and it is one of the best run chemical companies on earth. huge beneficiary of the natural gas price. i'm all about this. using weakness to buy stocks that i think are part of a longer term tidal wave going
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higher. next week one of the best homebuilders in the land, lennar, performs tuesday morning. it has been a fabulous performer of late. that means in this market it means it's prone to selling off when it reports. as with the whole group. they trade together. i think it this might be your chance. i want you to be ready. many times, toll is my favorite, but lennar is a darn good builder, and i want to knock stewart miller. he is terrific. doing the due diligence, might leap at the opportunity to scoop up some lennar. wednesday we hear from jp morgan. all right. look, i think some people say we focus inordinately on a couple of backs. jpmorgan, wells fargo and bank of america. we put pulte in our stock super bowl. you know what, i think it's nonsense that people think we focus on these only. i plow through all the banks, but i really plow through wells and bank of america to find out how wells and bank of america themselves are doing.
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if you want to read on the global economy, go to jpmorgan's conference call. you want to read on the standard of both corporate and consumer, you listen to jp morgan. it's lively and straight forward. yes. the conference calls are actually entertain when they're from jpmorgan. i think jamie dimon will be thrilled to show how the company is performing and has put the whale behind him. that said, i don't want you to buy it or any of the banks ahead. it's too hard. especially after wells fargo dropped today. even though it reported a pretty darn good quarter. we get results from ebay. the longest time i have stood behind ebay, but my charitable trust recently sold it after a huge run-up. it kept going higher. this stock, though, did get hammered the last time it reported because the market failed to recognize the inherent value of pay pal. the on-line credit card company buried within ebay. be ready to buy if this this happens again. my trust might be there with you. next up, kinder morgan energy partners, kmp.
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the partnerships finished 2012 terribly, in part because the people were worried that the tax breaks they enjoyed would be erased by the fiscal cliff. buyers are still skittish because they remain under a cloud, a cloud of low natural gas, the possibility of the debt ceiling negotiations might include new revenue raised by taxing them. you know what, that's the same old-same old. i don't care about it. i like kinder morgan. i'm looking for an entry point for you. if the yield goes above 6%, currently 5.77%, you know what, if it happens before this they report i would pass. bank of america reports in 30. okay. could this be the break-out quarter for b-a-c, bac is back. a lot of people participating. when everyone is expecting something good, you tend not to get if. we're going to go over theton stock in the super bowl momentarily.
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be aware this is a long-term positive story that needs to be bought on weakness, including anything you might get from earnings. it bothers me that the stock put two downgrades in the last week. as you hear later, short-term, some concern. just short-term, though. we also hear from citigroup. this will be the first conference call from the new ceo, michael corbatt. i will hear about what the strategy is going forward. remember, the last quarter was terrific, but then they panned it, got fired immediately after it, and in a weird ending of his tenure. i bet the momentum that pandett it gave the bank continues and the story is calming down. after it closed thursday we get results from capital one. you want a great growth opportunity? i bet capital one is one of the best we hear from. terrific credit card franchise augmented by the recent acquisition of banking assets from ing. i like this stock. then there's intel. what can intel do about the fact that personal computer saultz finished down 6% last year? a staggering decline. do nothing. the new ceo beckons and maybe something is missing. i don't think so, though. there's more to life than a good
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semi conductor company. my charitable trust prefers qualcomm. general electric reports on friday. this is a huge friday. i'm going to get fired up. get up at 2:30 really. used to the cnbc alarm clock. the bar has been set low by management at an analyst meeting last month. they said some things that were disappointing. i think that's terrific news from ge shareholders because it gives them a chance to beat expectations that -- i promised you something bold. maybe a huge buy-back. i bet you could be a stand-out next week. big position. general electric. johnson controls also comes in on friday. last time this company spoke, they delivered sharply better than expected numbers. i still think they should break i was up to bring out immediate value. that would go up 10%. last but not least, we hear from schlumberger, s-l-o-b for you home gamers. that's what people call it. it preannounced a shortfall, so
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forecasts are for nothing good to happen. what happens if they talk about the long-term where resores are still scarce and prices are high? i think the stock goes up, which is why my charitable trust owns it. that said, i don't expect a big pop. you know why? first they told us short-term there are problems, but it is the best of breed, and oddly, ironically, it's now above the price it stood at preannounced bad earnings. that rarely happens. that's because they're a franchise that always seems to get it right in the end. you only remember one thing for the show, don't forget that next week it's an almost impossible week to make money because of the group of earnings. just try to listen and do some learning. let's go to chuck -- oh could be chuck bunch because is he in pennsylvania. chuck. >> it's chuck from pittsburgh steeler country. >> we have chuck from pittsburgh steeler country. what's going on? you're not. i'm just saying we have him on. >> i think you're grate, but my wife thinks i spend more time with you than i do her, so i would like us to make some money. >> you should spend more time
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with her maybe. >> caller: what was that? >> maybe spend a little more time with her. >> caller: you're right. >> thank you. go ahead. >> i buy into asna, astena. it was one of your favorite plays because it was supposed to be a good buy. it only rose 1%, which is way below expectation, so due to the numbers the company has to adjust down 20%. the stock plunged yesterday. do you think this is just a hiccup and i should buy, or do i bail? >> we had david jaffey on recently, and he said they had some apparel issues. they didn't have the right stuff from the stores, but this was very bad, and so i can tell you, chuck -- look, it's $16. no, i don't want to sell. the stock was at $23. this was very disappointing, and i don't blame you for being chagrinned because i sure am. i would love to hear from david jaffey how he can turn the business around because they missed on almost every line, and it was extremely disappointing. i share your anxiety. that doesn't mean i'm going to
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dump it, but i share the anxiety. large and in charge marge. >> caller: boo-yah, cramer. have i heard you talking about china, and i auto would like to talk to you about how china's imports of coal have gone up huge. say, over 29%. i would like to know what you think that impact could have on our u.s. company like cloud peak energy, wyoming montana cole coal mine. how could that increase their exports? >> you did pick a good one. well, actually, it's -- btu is the most levered to china pea body. but you know what? if you really believe that thesis, you should buy joy, j-of h yf. i don't mean like the detergent. i want to you buy the old joy global, j-o-y on the new york stock exchange. that stock at at $68. it is up ten straight points. if it pulls up at all, i would be a buyer. did you hear that? you know what that is? that's the noise of earnings. not an opportunity. next week don't trade. just listen, and learn. "mad money" will be right back.
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>> coming up, milking the mall? cramer is eyeing a $5 spec that's been surfing higher. surging over 100% in the past six months. is it time to get your hands on this looker before high tide or could it be mowed down by the undercurrent? stick around to find out. and, later, game of the year. the big game has arrived. tonight cramer's top down when s&p stocks from 2012 are set to fight it out for the top spot. it's the house to pulte built versus bank of america. you voted at jim cramer on twitter, and no it's time for him to decide. stick around to find out which one could be your winning team in 2013. all coming up on "mad money". >> don't miss a second of "mad money". follow@jim cramer on twitter. have a question?
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tweet cramer _#mad tweets. send jim an e-mail to madmoney@cnbc.com. or give us a call at 11-800-743-cnbc. miss something in head to "mad money".cnbc.com.
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here on "mad money," i'm always telling you it's okay to speculate. put some money in high risk/high reward situations. usually single digit stocks that will be the head of the market that they don't appreciate. i talked about the money that you could have made betting single digit stocks like sprint, clear wire, nokia, supervalu. they were all written off at one point or another, including me. at one point or another just -- just today lowly dog best buy rose $2 or 16.38% on better than expected sales and research in motion was up really huge. another dog left for dead. i don't want all these moves to give you a sense that speculation is somehow ease lots of single digit stocks can be dangerous.
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it's not enough to speculate. you have to speculate wisely. what dow mean by smart speculation? smart speculation it means being careful. considering the perspective of both the bulls and the bears. and you don't do any buying unless have you a high level of confidence that the bulls are going to come out on -- that the bulls are right. take quick silver, zqk, a $5 and change stock that's an outdoor sports life-style play. you know, you see me around the hood wearing this. or is this a hood? anyway, right now we've got an honest to goodness analyst shoot-out in this little piece of speculation. last week, goldman sachs came out and upgraded quick silver from neutral to buy, but then this morning, the anales of piper jaffery, that guy hit quick silver with a downgrade from buy to neutral. we have a terrific chance to look at both sides of the story, figure out who is right. that is smart for speculation.
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quite frankly, it's a joni mitchell moment. we will look at quick silver from both sides now. first a little background. quick silver is three names brands, quick silver, ro x i, and dc, and that mostly appeals to surfers and skaters or people that want to look like surfers, skateboard riders or have tattoos like young people are doing, it's cool. during the 1990s, and the first day of the 2000s, quick silver was a red hot growth, one of the smoke shows, on fire. but for years, the company has been stagnant. and came close to going bankrupt. it's come back from the brink. quick silver has had a lot of trouble getting investors to appreciate brands. i don't know why. or customers.
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honestly, what is not to like? so why does goldman think that quick silver is now a buy? main catalyst, last thursday, quick silver announced they were hiring a new ceo that starts work today. his maim is andy mooney. why do bald guys think it does anything when you do that? why is goldman so bullish about this guy? mooney has a terrific track record. he spent most of the last decade running disney's consumer products division where he turned around the retail business. before that during the 1990s he was the head of marketing at nike during the just do it campaign. we all know that one. he is the exact kind of guy to execute a turnaround. he could be right. kind of have to agree about that. take a look at the recent history of retailers that brought in new skos from the outside. they found on average that stocks were up 40% on the next 12 months. i don't find that argument persuasive, and one outperformer on the list, chico's, the year after they brought in the great
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dave dyer, we like him, we talked about that before. you just can't lump retailers together like this. maybe quick silver will be like chico's, dyer came in quietly. or maybe it will be more like, oh, boy, jcpenney. [ boo ] after ron johnson took over march 2011 where it has been hammered mercilessly and relentlessly ever since. the only thing i'm sure is that turnarounds take time, and right now it feels like frankly it's too soon to judge. beyond the new ceo factor, quick silver has been cutting its sales progress sily down 275 basis points. they think these cost cuts will continue tore years. on the other hand, quick silver's gross margin maybe after the cost of sales. down 600 basis points. that's monumental.
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thanks for the need of sales and the whole side side and the retail side. goldman thinks the company has cleared out its inventory. they think he can improve from here. quick silver's recent history is full of false starts. i need to see the growth gross margin get better. goldman also thinks that quick silver's three brands are underappreciated by wall street. now, that might well be true, but it's hard to cut costs and also turn around your company's image at the same time. again, witness jcpenny. i'm persuade by goldman's new ceo. partially. then piper jaffrey comes out with the downgrade. i got to tell you it makes me feel like quick silver is not a good place right now. i know the jump from one guy to another, but this was very thought through. i mean, we don't have any holiday date why i can't from quick silver, but the major national specialty retailers in this kind of same category have
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all given us updates and the numbers don't look good. i like this compare sob. same first sales up 1%. the gross margins fell short. 1% decline. zoomies delivered same-store sells down 2%. these are the companies that sell quick silver's merchandise. they're telling us the categories is having a hard time. that makes sense to me. piper points out that quick silver has ab inconsistent history of peaks and misses. the last time they reported the company disappointed big-time. the stock got slammed. fell 13% in a single day. meanwhile, quick silver has had a major run. this is what really put me off. it dropped to $354. now it's at $5.58. 33% gain in under a month. that is a huge month given that we don't know yet about whether there's a confirmation of return. plus, quick silver has been -- well, it has one of the first balance sheets. the company gets 35% of its sales from europe. you know i think europe is stabilizing, but it's not a great place to be.
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i would visit. after i read this, i was thinking continuing the logic of that stock sear that is joni mitchell, then it's life's illusions i recall and that goldman don't know quick silver at all. [ drum ] >> where do i come down? look, dow believe that if anyone can pull off a turnaround at quick silver new ceo andy mooney is the guy. it will take time to get -- it will not be smart speculation even though i wanted to recommend a spek on friday. if anything, i bring the register given the stocks are only a few cents off. the bottom line, when you are speculating, sometiming is everything. long-term i think goldman sachs might be right, and the new ceo can turn around quick silver, but for now the stock has run up huge, and the action sports apparel industry seems to be a bad place to be right now. i would stay the heck away, and
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quick silver either pulls back or gives us real evidence of a come back. just right now it's a driving wannabe spek name that's been speked already, and needs to recharge by going under $5 where it might just be a different, much better story. after the break i'll try to make you more money. coming up, game of the year. the big game has arrived. tonight cramer's top down on s&p's top stocks for 2012. it's the house that pulte built. you voted at jim raymer on twitter, and now it's time for him to decide. stick around to find out which one could be your winning team in 2013.
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welcome to the annual "mad money" stock super bowl. at the beginning of every year, we look back at the previous year's best performers and have our playoffs, take the two top ranked stocks and pitting them against each other to see which is the best in the new year. 2012 season, bank of america faced off against home depot and bac went to the finals. if in the s & p division, pulte came out. now it's time for the main event. the stock super bowl.
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where bank of america up 109% last year, squares off against pulte, up 188%. that's got to be the favorite, right? the bank versus the home builder. i asked you the viewer to chime in against the outcome @jimcramer. we are pooling your votes. the viewers' choice, believe it or not, bank of america is heavily favored. 75% of you picked bank of america, despite the fact that it lost people bajillions of dollars over the years. if the viewer is right, it's a close call. i would go to twitter underdog pulte. the reason? pulte and bank of america took the honors, part of strong secular, groups that will do quite well in 2013, company sector accounts for 20%. sometimes higher in banks.
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this is a very important part of the calculation. banking versus housing. i like both areas. banks have not suddenly become fabulous businesses. struggling with superlow interest rates, and a lack of loan growth. however, a ton of improvement here. and that is why bank of america, more than doubled last year and i think it will have a good 2013. ever since the recession, banks held back by a host of worries. the year where the years are a thing of the past. litigation over the mortgage putback issue and fanny mae, some outstanding legal issues, dodd/frank, and something that will finally get certainty or clarity on over the next nine months and the last three major provisions are clarified. with those worries behind them, the banks can focus on the fact that we're an improving economy with slow but steady job growth but a resurgent housing market.
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i think the ceo has been on record saying we're about to turn on the loan growth jets and we'll get the results of the latest round of stress tests for bank of america to return capital shareholders, via buybacks and dividend groups. what group is improving faster is the home builders. as i told you yesterday, still in the very early stages of what will be a multihousing rebound. we have cleared out the surplus of foreclosed homes. rents high, mortgage rates so low, owning a home is incredibly affordable versus renting and a ton of household information, people want to buy houses, stayed living with their inlaws and that trend continues. all terrific for major home builder like pulte nationwide. this is why it has the edge when it comes to sector. what's happening in individual companies. both pulte and bank of america are focused on cost cutting, but
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pulte a lot more upside when it comes to revenue growth. bank of america is aggressive about trimming the fat and they generate $8 billion by 2015. isn't that unbelievable. i believe in the leadership now. i was very -- let's say i was skeptical about brian moynahan, but there are a lot of good things happen. in 2012, healthy increase in margins and it should continue in 2013, thanks to cost cuts. there is a heck of a lot more demand for new homes in this country. and the growth could continue for multiple years. what about sentiment? really important, right? better than expected, worst that expected? bank of america 13 buys 24 holds and pulte, a draw. we have caught two important downgrades of bank of america in the last week. that always makes me, let's say more guarded. now, neither of these companies best of breed player. yet you look at bank of
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america's value indication, 12 times next year's earnings and jpmorgan, citigroup turn around, sells nine times for earnings, and pulte, 18 times earnings. jpmorgan chose pulte as a top pick precisely because of its value nation, not on next year, but outyears. and they are looking to potential earning power in 2016 and concluded 6.1 times those numbers. what you are seeing there is the power of the housing rebound in multiple years worth of action. and before i pull up the trophy, let me remind you, pulte is not my favorite home builders, high end best of breed toll brothers. and bank of america not my favorite bank. i prefer the smaller regionals and focused on key, k-e-y. expectations so high for big banks when wells fargo delivered better than expected earning
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report it went down even though the cfo gave a pretty darn favorable accounting of things. and out of the top performers in the dough and s & p last year, i think pulte has the best chance of duplicating 2012 success. it's dynamic and that's what it means to win the stock market super bowl. bottom line, sorry, viewers, but the s&p 500 champion faced off against bank of america, it was pulfe that won, basically house issing on a multi-year move. bank of america, hey, good. it's just not the right kind of bank pour this moment. that said, i know even after all this heart break, bank of america still has a fan base, a proverbial 12th man on twitter. so i wouldn't be surprised if on every dip it garners new support and works its way higher over time. in the super bowl two winners, but pulte is the champ you want to bet on. rochelle in illinois. rochelle. >> caller: hi, jim.
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rochelle from chicago. love your show. >> i love loving it. i want lovie to coach the eagles. >> we love lovie too. i am bummed about him being gone. >> well, you know -- different show. >> we don't want to go into the whole cutler thing. >> caller: a big thank you to all of the people behind the scenes that make your show happen. >> and it's kay's birthday, one of our people, and it's a remarkable, remarkable place that i work at. i work with the best people in the world. they make me look good every day. >> caller: i know you couldn't do it without them. my question today is on 3-d systems versus streus. i own some 3-d systems already and i'm up in 35% in over 30 days. last year, up 312%, streus, they
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are up. both this week reached new highs and in december, you liked streus better. how do you feel? >> we like the acquisition. these are the 3-d printers, hottest thing in business. great article in "the washington post" about 3-d printers a week ago. thank you for the kind comments. i got to stick with my ssys judgment. but you know what? ddd is a heck of a lot better than 85% of the companies i follow. are you in good company. let's stick with illinois. mike in illinois, mike. >> caller: booyah, lord cramer from the windy city. >> good to have you. >> caller: i'm a huge fan of yours and an active young investor. >> i love it. >> caller: the question i have for you today is where do you see the brazilian building company headed this year? i'm in the stock and debating whether i should buy more. what is your take? >> here is my take. i understand you absolutely want to own a brazilian play, and i don't blame you. going down to fly down to rio, we'll fly with valet, v-a-l-e,
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not v-a-l-e-t but vale. we have crowned a new super bowl champion, it's here. best performer of 2012, and the winner? pulte homes. that's who i favor to repeat. bank of america? hey, it's going to be real good. but pulte i think will be the winner for 2013. don't move, lightning round is next. keep up with cramer all day long. follow @jimcramer at twitter and #madtweets.
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and now every hoveround comes with this handy tote bag and cup holder for access to your favorite items. and right now, get this limited edition hoveround america travel mug free with your hoveround delivery. [singing] hoveround takes me where i wanna go. call or log on to hoveround.com to find out where a hoveround can take you!
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it is time. for the lightning round. and we call in, and we say buy, buy, buy, sell, sell, sell. my staff makes this sound and the lightning round is over. are you ready, skedaddy? let's start with mitch in illinois. >> caller: happy new year booyah to you jim. how are you today? >> real good, how are you, partner. >> caller: good. i want to get your opinion on vac?
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>> i predicted that this company could have good luck against apple. it has now gone up 10% very quickly. why? a very key ruling in favor of vernetics. a great spec, only deep in the money calls. chase in california. chase. >> caller: hey, jim. great big boo-boo boo-boo yeah from orange county california. >> lived in my car down there, fabulous area. what's going on? >> isis pharmaceuticals. >> beginning to move up. good news, and i want to stay in for a little bit more. until we get a ruling and then maybe we'll take profits. john in illinois. >> caller: jim, first-time investor. a company i'm really happy about. i'm just worried they might be at their peak. buffalo wild wings. >> last quarter i didn't like. i love management, terrific, but last quarter, put them in the penalty box. i need to see another quarter before i recommend it.
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where one quarter is bad, could be another. let's go to alan in florida. alan. >> caller: yes. >> go ahead, alan. >> caller: if i didn't say thank you, thank you for taking my call. >> my pleasure. >> caller: okay. 3-d printer stocks such as prlb have more growth long term? >> we like ddd, triple d and stratus-s. those are the better plays in the area. ray in florida. >> caller: cramer. >> how are you? >> caller: sunny warm vero beach booyah to you. >> what's up. >> caller: my stock, bank of ireland. >> they are coming back and coming back quickly. and they are recommending san
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san tan der right now in spain. but you have a good idea. i missed -- when i went to ireland nine months ago i should have been buying everything left and right. what a great country. bob in new york. >> caller: bob, from upstate new york. >> adirondack 46er here. >> caller: i have have a small aaccumulate lait lagz and would like your opinion on a low-priced high reward speculation. frontier. >> i'm not going to spin off. my friend felt that wind stream refinanced, and that is the conclusion of the lightning round. >> lightning round sponsored by td ameritrade. sometimes the charts are dead simple. fizer, the ultimate bullish pattern. reverse head and shoulders.
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give it hair. hair right here, because that's what the really smart good looking guys. i like to use head and shoulders, dumb and stupid and funny. likes the trix, not because they are for kids, not because they are cereals. >> it's rare you get a safe, boring high building drug stock like fizer who actually has kind of smoking hot chart. not like what brent mussberger kept saying in the stands. whoa. >> caller: jim, big california booyah. a very important call. i am getting married in a week. the wedding is not cheap, the honeymoon is not cheap and that ring sure as heck was not cheap. we need to make some money here. >> why the heck are you doing it? >> caller: two major questions. >> you are getting married, i'll let you have two. but you are facing that
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prolonged sentence to the green mile, i'll let you have two. a big part of game stop's business, selling hard copies of new and used games. obsolete. so much time to play, i mean in between when i'm switching avatars @jimcramer. game over. come on -- ah! >> jim, are you not controlling this. >> i'm not? ah! >> avatar. a graphical representation of a person used in virtual worlds, games, or online community. like twitter. >> tweet me @jimcramer, new avitar. why can't we get as my avatar. we should change avatar constantly. i want this to be my avatar. >> before we answer your tweets,
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we have homework. i don't like it to stockpile. renee called to ask about a tiny spek play on aesthetic lasers, the kind that doctors use to rejuvenate skin and reduce the appearance of cellulite. there is a ton of excitement here about the tattoo removal
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product. it just received fda approval back in december. getting tattoos is becoming a mainstream thing, especially in the nba, and it's hard to gauge the demand for removing them. unless you get lots of breakups where you have to erase your ex's name from a part of your body or something -- all right, don't get me wrong, this device is exciting because it's the first real breakthrough in tattoo removal. they can reduce the number of treatments needed for a tattoo removal nearly 50%. at the they will me it hurts. i don't know. down to five to seven treatments. the stock doubled and traded 30 times this year's earnings. the expectations are high. wait for a pullback. as the new sales opportunities inked into this stock's price, also about justin in illinois wanted to know about creative health. it helps hospitals with revenue collection and other services that make hospitals easier to
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comply with regulations under obama care. 2012 was a rough year pour this one. it included monetary fines as well as barred from being practicing in the state for at least two years. it's trading at a premium to its historical mobile. it's a hot space, though. buy a stock on pullback, but not this one. i would rather own athena health. the health care service company we talked to you about last night. i thought it was pretty good. very extensive. last friday john in new jersey asked about just energy group. symbol je. i said i boo get back to him. they sell natural gas and electricity. natural gas hovers around low levels. the company's customers are in no rush to lock in long-term contracts. a big part of energy's business. so lack of demand is a concern. 12.5% yield, worry some. a serious red flag. you know what, just energy's cash, the cash flow is under pressure from the company's expansion michigantives and
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higher marketing expenses. a dividend cut could actually happen. steer clear of the stock. no question. just say no to just energy. now some tweets. let's start with a tweet from steven crawford, @smcbmt, i don't know. who says darden, dri, worthy of more homework for dividend portfolio or don't waste the time? they have to grow, they are not putting up numbers that would make me feel comfortable saying this is good dividend play. flip ncf, thanks for the tip, up 28%, you still liking the stock? a great company. and vaccines too. this company is terrific. we know when we have the ceo on, he's dynamite. let's take another tweet. this is from ben at stcil. he says that it's an excellent avy, which is short with av tar with you and pop. that's my dad. couldn't agree more. the new avatar, that's my pop
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and another loss. he is wearing the deshaun jersey, and mine is a signed jaws jersey, number 7. let's take another tweet. this one is from a beer nat 54. this says sweet avatar. anything thought on groupon? bought at $256. i like zinga more than groupon. ring the register and let the rest run. you're playing with the house's money. that's how this business works. here's another tweet. this is from draztech. this follower says what's going with apple and china mobile deal? i'm thinking an announce the over the weekend or monday. stop playing apple for the announcements. it's an inexpensive stock that until we see the quarter probably doesn't do anything other than jump up and down. my charitable trust owns it. i'm not push it hard right now. i think it's fine. they did miss the last would two quarters. i'm arguing with someone about twitter about whether that happened. they missed. no argument.
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finally a tweet from -- what's more realistic? bby, best buy adopts target on-line price match where amazon take over best buy as a branded showroom. i browsed but never buy. amazon is doing great. target is okay, but amazon is on any weakness always -- well, it's been a fabulous buy, and i do think it can end up going to 300. "mad money" is back after the break.
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the big themes for 2013.
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i've told thaw moments of market weakness, you immediate to seek out the stocks in housing, like toll brothers or otherwise, like ford. nice double in the dividend. thank you al ma lally. find an insurance stock because your rates are going higher. own a chemical company and take advantage of the cheap natural gas feed stock. here in the u.s. i've said china is roaring back. you should own a chinese index stock. you can own a tech stock that helps tellco companies upgrade their companies to 5g. you want to play with the parts makers. avoid the headline risk of a stock like boeing. i like the smaller regional banks because they should put up better than expected numbers. including the interest margins, and they won't be as disappointing as investors, but wells fargo was today. now it's time to talk about my last two themes for rainy day in the stock market. i have a couple of catch phrases to help you remember them. i'm calling the first one. the government made me do it. these are stocks that are related to the stocks of the new
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health care system that kicks in next year, and the chip that is are already being played. robert half manpower and disparity were red hot. came in hot. i think they're going to stay that way because temporary staffing is a terrific way to beat the new taxes businesses might have to pay because of government mandates. pretty clever, huh? the hospital is notably community health systems should work all year and advance in 2014 changes because the new heavily favors hospitals. don't forget athena health. only on the pullback. the company can keep health care costs down by using its cloud-based software. mr. bush last night, i thought he was terrific. i call this one the don't just stand there do something they're where i. i'm seeing companies that buy other companies and companies that split themselves up into separately traded parts. really bringing out a lot of value for the shareholders. like pvh creating a calvin klein house of brands. that stock never looked back. how about hormel when it picked up skippy peanut butter. sandy cutler's eaton when he purchased eaton industries. these generated huge gains for all the acquirers.
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highly unusual. i hi that will continue to do so as the earnings get reported. believe me, it is a mania when ceos see that other companies buy stocks and sends the acquire up. it will be a wave of mergers that you haven't seen in years. remember to recall the tremendous break-ups of 2012. you probably forgot that it's working. abbott, remember? marathon. conco. craft. just this morning goldman sachs pushed the charitable trust -- the international snack spinoff from craft. it's emerging markets is my charitable trust. these all brought instant valuation hikes. there are reminders that companies that sit there and wait for things to get better miss the best opportunities. what is may west say? he who hesitates last. i believe we are at the infancy of a new wave. because the only way for a company to get instant growth is
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to buy another company. >> buy, buy, buy. >> the only way to bring out value if you have parts that are worth more than the whole is to give the market the parts that it wants. these themes banking, autos, housing, insurance, aerospace, china, manager, mobile technology. the deposit made me do it, and the don't just stand there do something group are meant as a way to deal with the retreats in the market. don't call hog wild. this is the bear who groulz. they're meant to be a method to stay in the game when it gets tough. it always does. they let you navigate the shark infested waters of washington, and they give you the comfort to be able to buy in a down market. research them. get comfortable with them. i believe and i'm most confident they are the places to be in 2013. stick with cramer.
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